Lorain off 'fiscal watch'

LORAIN — The Ohio Auditor’s Office will remove Lorain from the “fiscal watch” financial position, said Mayor Chase Ritenauer and Auditor Ron Mantini.
The city has been tagged with the “fiscal watch” designation since October 2002. In a meeting Tuesday, Ohio Auditor Dave Yost confirmed he will remove the city from that category for communities that have trouble balancing revenues and expenses.
Official word is expected within a month and there will be a formal presentation to Lorain City Council.
Mantini credited a group effort and a number of programs that led to the city getting out from under the state’s designation for cities facing financial difficulties.
“Throughout the last few years, several items such as the hospitalization bond, payroll deferral, funding the budget stabilization fund, creating funds for future liabilities and passage of the city income tax allowed this day to be possible,” Mantini said. “Decisions made by councils and administrations past and present contributed to where we are today.”
The change is a step forward for Lorain, Ritenauer said.
“This is a big day for the city of Lorain, especially since the city has been in ‘fiscal watch’ for over a decade. It signifies that our fiscal house is in order and that the city is continuing to make collective progress,” the mayor said.
The change also may lead to cheaper costs for capital improvement projects if the city gets a better bond rating and financing rates, Ritenauer said.
He also credited Lorain’s taxpayers and voters for approving the road and park improvement income tax levy. It was Issue 13 on the November 2012 ballot.
“Approval of last year’s income tax levy has meant more new roads in Lorain than in the last decade combined, but it also allowed the city, in combination with a balanced approach on the expense side, to stabilize its finances and be removed from ‘Fiscal Watch,’” Ritenauer said. “This is unquestionably a sign of significant progress for not only the city of Lorain’s financial health but for its overall position.”